First adult-use license lottery set for Tuesday in Minnesota, as some industry hopefuls sue | How to buy Skittles Moonrock online

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The Minnesota Office of Cannabis Management will hold its first lottery for recreational cannabis business permits on Tuesday, the agency announced just before the weekend, in an apparent move to fast-track the new market launch.

The OCM lottery will be live-streamed on the agency’s YouTube page, the OCM said in a press release, and will begin at 11 a.m. central time.

At stake are 182 “preapprovals” for business permits for 648 applicants who were qualified for the lottery, and at least one additional license lottery will be held by the OCM sometime early next year as well, the Minnesota Star Tribune reported.

“The lottery marks a significant milestone in the state’s work to launch a legal adult-use cannabis industry that is expected to mature over the next several years,” the agency said in a press release.

The lottery was calendared after the OCM dramatically culled 1,169 other marijuana license applications from the original pool, the Star Tribune reported, a move that quickly sparked threats of legal action.

The OCM reiterated in its Friday news release that “Each application underwent a rigorous review to ensure consistency with statutory requirements and baseline standards of readiness,” noting that many simply did not meet the legal threshold to qualify for the lottery.

But perhaps inevitably, on Friday news broke that some of those legal threats have materialized, with two cannabis industry hopefuls filing suit against the OCM in state court, Minnesota Public Radio reported.

One litigant, Jodi Connolly, alleged that OCM gave no reason at all for rejecting her application, MPR reported. Her co-plaintiff, Cristina Aranguiz, alleged that she “received only a cursory explanation,” and both are charging that violates the state regulatory prohibition on “arbitrary and capricious” actions by state officials. The two are asking a judge to halt the licensing process until their lawsuit is settled, and a hearing is scheduled for 9 a.m. on Monday.

The OCM declined to comment on the litigation to MPR, but said the lottery would go ahead as scheduled.